TSMC is Largely known for creating semiconductors in Taiwan and mainland China. Are looking to expand to the US. After already announcing that they will be building a Fab in Arizona and are set to invest more than $12 billion to create 5nm factories. TSMC might be set to pump even more into their new adventure.

As previously reported TSMC is rumored to be building up to six production plants after purchasing a large plot of land north of Phoenix Arizona. These are still just rumors at this point as they haven’t even started building the first fab. But with this initial investment, TSMC does seem keen on further developing the presence in the United States. This is leaving company officials reportedly debating on whether to set up a 3nm production in the US. If they do decide to go ahead with the 3nm production this will be it’s first for the US.

TSMC will be moving their 5nm EUV chips to a more advanced processing node when they open their Arizona plant. Apple’s M1 SoC has already been leveraging this technology. But if TSMC is able to create a 3nm fab and start production. This will be a big win for the US government.

The semiconductor industry as a Whole

The semiconductor industry as a whole has been looking to expand fab production. TSMC, Samsung and Intel are all investing billions of dollars into fabs. Each company is making long-term plans to support higher levels of demand once this whole pandemic is over. Even the Biden Administration has called for 50 billion in funding to support American chipmakers. This funding will only be available to domestic chipmakers. so TSMC won’t be able to get this directly. but this goes to prove a point that not only is expansion needed for TSMC they aren’t the only ones doing it.

The US government might still be able to help TSMC. with US government grants funding and Tax rebates as creating a 3nm fab could cost as much as $25 billion which is already double the amount of their first fab.

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